Created using OpenAI’s DALL·E (2025)

Intro

Managing risk actively means not only reducing uncertainty but also creating market advantages. While many companies focus on „what could go wrong,“ the most successful ones ask, „what could go better?“ Risk management isn’t just about making informed decisions – it’s about defining what makes a good decision in the first place. Aligning on decision quality ensures businesses choose the right approach, whether through data-driven analysis or intuition-based judgment. Effective risk management also requires identifying Risk Hot Spots – areas where multiple factors, such as business impact, decision-maker incentives, and available treatment options, converge. These hotspots help prioritize risks that need immediate attention and offer clear paths for mitigation.

Finally, seeing risk isn’t enough – how businesses treat and respond to it determines long-term success. Cyber risk, often viewed purely as a financial issue, is in fact a strategic one. When properly managed, it can shape corporate strategy, drive operational resilience, and unlock new value-creation opportunities.

Hurdles

• Companies struggle to define their risk appetite and how to measure decision-making quality.

• Decision-making approaches vary – some rely on data-driven (quantitative) methods, while others emphasize intuition (qualitative).

• Cyber risk is often dismissed as „too new“ to measure, but statistical methods can work even with minimal or no data.

• Risk visibility alone is not enough – treatment and response strategies need equal attention.

• A clear business-cyber risk translation program is essential for mutual understanding.

• Risks are often viewed as purely financial, but many, including cyber risks, have more strategic and operational implications.

Game Changers

1. Establish a high-quality decision-making process – Define what constitutes a „good decision“ in your organization. Ensure transparency, consistency, and alignment between risk assessment and business objectives, whether using quantitative models, expert judgment, or a hybrid approach.
2. 
   Adapt risk strategies to company culture and leadership style – Decision-makers interpret risk differently. Understand whether your leadership favors data-driven arguments or intuitive reasoning and tailor risk communication accordingly to drive engagement and action.
3. 
   Create and leverage Risk Hot Spots – Identify areas where multiple risk factors-such as financial exposure, operational impact, and leadership incentives intersect. Prioritizing these hotspots makes risk more visible and actionable while aligning mitigation efforts with business priorities.
4. 
   Shift from fear to opportunity-based risk communication – Instead of emphasizing worst-case scenarios, focus on how proactive risk management can drive innovation, efficiency, and competitive advantage. Frame cybersecurity as an enabler, not just a cost.
5. 
   Ensure risk analysis translates into measurable business value – Avoid risk assessments that feel abstract or disconnected from strategy. Provide tangible insights, such as cost-benefit analyses, efficiency gains, or potential market differentiators, to make risk mitigation a compelling business case.

Cyber Circle, located in Switzerland, is a project that connects CISOs (Chief Information Security Officers) with researchers. This collaborative community meets every two months for an evening of valuable discussions and activities centered around their roles. The focus is on providing insights, facilitating cross-industry learning, enabling external peer networking, and conducting practical workshops.

The ultimate goal is to establish improved cybersecurity principles, including human-centered security, within companies.

Join Cyber Circle and become part of a friendly community shaping the future of cybersecurity!

Circle hosts:
Milena Thalmann, White Rabbit Communications
Stefan von Rohr, Peer Consult
Peter Kosel, cyberunity